But some say that the best is still to come. Here are at least five critical signs indicating that this isn't an altcoin peak season but merely a bullish retest. It could be a precursor to the biggest altcoins season in crypto history.
Major Signals
- The Ichimoku indicator shows a rejection signifying a loss of dominance by bitcoin.
- The Bollinger Bands also show a rejection.
- The ADX decreased to a reading of 20, indicating a coming trend.
- The DMI finished a bearish crossover signaling a coming alt season.
- Altcoins market cap keeps growing.
Despite bitcoin's heavy influence on the crypto market, there are seasons when altcoins emerge from the shadow of Bitcoin. In these seasons, previously unknown coins attain incredible peaks and performance in price action. They soar by as much as 100x and even 1000x and make millionaires of many crypto investors.
So what are some of these exciting signs?
First is bitcoin dominance; this measures the bitcoin's market share with all the other cryptocurrencies. It's a sort of Bitcoin vs. Altcoins measure. For a long time, bitcoin has been the king in this area, enjoying over 70% dominance most times. But lately, that figure has been watering down.
Bitcoin has long held the upper hand in dominance since the last significant altcoins season in 2018. But now, it's losing its grip slowly. The Ichimoku indicator shows a rejection from the cloud (pictured above) that coincides with BTC losing the 63% level.
2nd sign: The Bollinger Bands (pictured below) show a rejection comparable with that of the Ichimoku above.
The rejection happens at the middle-BB on the Bollinger Bands despite many tries, indicating a likely drop to the lower band is definitely in the works.
3rd sign: The ADX (a tool for measuring trend strength which includes two Directional Movement Index lines) decreased to a reading of 20, indicating that the prevailing trend has completed, and a new trend is brewing.
4th sign: The red DMI( directional movement index is an indicator that determines the direction of movement of the asset's price.) finished a bearish crossover, indicating that altcoins will get the upper hand over bitcoin.
5th sign: The market cap of altcoins has kept growing. Ethereum alone has a market cap of close to $200 million. The market capitalization of altcoins(that is, excluding bitcoin) is almost $600 billion. The altcoin market cap signifies a market that seems to be prepping for a breakout.
